President Donald Trump issued an executive order on Thursday, establishing a cryptocurrency working group tasked with drafting new digital asset regulations and exploring the creation of a national cryptocurrency stockpile.
The move fulfills Trump’s campaign promise to make the United States a global leader in digital asset innovation.
The order includes protections for banking services provided to cryptocurrency companies, a nod to longstanding industry complaints that regulators have pressured banks to cut ties with crypto firms—a claim regulators deny. Additionally, the order bans the creation of central bank digital currencies in the United States, citing concerns that such currencies could undermine existing cryptocurrencies.
In a significant win for the crypto sector, the U.S. Securities and Exchange Commission rescinded prior accounting guidance that made it costly for publicly traded companies to hold crypto assets for clients. The guidance had been criticized by industry leaders as a barrier to digital asset adoption.
“Today’s crypto executive order marks a sea change in U.S. digital asset policy,” said Nathan McCauley, CEO and co-founder of Anchorage Digital. “By taking a whole-of-government approach to crypto, the administration is making a significant first step toward writing clear, consistent rules of the road.”
Trump’s stance on cryptocurrencies contrasts sharply with the approach of the Biden administration, which had taken a hard line on the industry. Under Biden, regulators brought lawsuits against major exchanges such as Coinbase and Binance, alleging violations of U.S. securities laws. Both companies have denied the allegations.
The crypto industry has welcomed the new administration’s support. Bitcoin, buoyed by investor optimism, surged to a record high of $109,071 earlier this week, though it retreated slightly to $103,000 by late Thursday.
“Just days into his administration, President Trump is delivering on his promises… to keep the United States a leader in digital assets innovation,” Senator Tim Scott, chair of the Senate Banking Committee, said in a statement.
The executive order tasks the newly created working group with developing a comprehensive regulatory framework for digital assets, including stablecoins—cryptocurrencies pegged to the U.S. dollar.
The group will also evaluate the creation of a national cryptocurrency stockpile, potentially sourced from digital assets lawfully seized by federal law enforcement.
Details about the stockpile’s structure remain unclear, with analysts debating whether its establishment would require congressional approval. Some experts suggest it could be implemented through the Treasury’s Exchange Stabilization Fund, traditionally used for foreign currency reserves, which might also accommodate Bitcoin.
Venture capitalist and former PayPal executive David Sacks has been named the administration’s crypto and artificial intelligence czar and will chair the working group. The initiative follows the SEC’s announcement earlier this week of a task force dedicated to overhauling cryptocurrency policy.
